[Federal Register Volume 59, Number 66 (Wednesday, April 6, 1994)]
[Unknown Section]
[Page 0]
From the Federal Register Online via the Government Publishing Office [www.gpo.gov]
[FR Doc No: 94-8165]
[[Page Unknown]]
[Federal Register: April 6, 1994]
-----------------------------------------------------------------------
SECURITIES AND EXCHANGE COMMISSION
[Release No. 34-33837; File No. SR-CHX-94-09]
Self-Regulatory Organizations; Notice of Filing and Immediate
Effectiveness of Proposed Rule Change by the Chicago Stock Exchange,
Inc. To Extend a Credit against Dues Given to Registered Market Makers
for Trading the Chicago Stock Basket
March 30, 1994.
Pursuant to section 19(b)(1) of the Securities Exchange Act of 1934
(``Act''), 15 U.S.C. 78s(b)(1), notice is hereby given that on March
17, 1994, the Chicago Stock Exchange, Inc. (``CHX'' or ``Exchange'')
filed with the Securities and Exchange Commission (``Commission'' or
``SEC'') the proposed rule change as described in Items I, II and III
below, which Items have been prepared by the self-regulatory
organization. The Commission is publishing this notice to solicit
comments on the proposed rule change from interested persons.
I. Self-Regulatory Organization's Statement of the Terms of Substance
of the Proposed Rule Change
The Exchange proposes to extend a credit against dues given to
registered Market Makers in the Chicago Stock Basket (``CXM''), for
trading the CXM through May 31, 1994.\1\
---------------------------------------------------------------------------
\1\This credit became effective in Securities Exchange Act
Release No. 33380 (December 23, 1993), 58 FR 69416 (December 30,
1993) (File No. SR-CHX-93-32) and was extended until March 31, 1994
in Securities Exchange Act Release No. 33585 (February 7, 1994), 59
FR 6986 (February 14, 1994) (File No. SR-CHX-94-05). According to
the CHX, the credit applies only to CXM trades for a registered
Market Maker's proprietary market making account. Telephone
conversation between David T. Rusoff, Foley & Lardner, and Beth
Stekler, Attorney, Division of Market Regulation, SEC, on December
14, 1993.
For further discussion of the market structure for trading the
CXM and, in particular, of the role of registered Market Makers, see
Securities Exchange Act Release No. 33053 (October 15, 1993), 58 FR
54610 (October 22, 1993) (File No. SR-CHX-93-18).
---------------------------------------------------------------------------
Proposed new language is italicized and deleted language is
bracketed:
Membership Dues and Fees
Member Dues (all members)--$3,200 per annum, payable monthly in equal
installments.
Through [March] May 31, 1994, registered Market Makers in the CXM
will be given a credit towards their monthly installment of their dues
at the rate of $1 for each contract of CXM that they trade. The maximum
credit given to any registered Market Maker in the CXM pursuant to the
preceding sentence shall be $15 per day up to a maximum of $266 per
month.
II. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
In its filing with the Commission, the self-regulatory organization
included statements concerning the purpose of and basis for the
proposed rule change and discussed any comments it received on the
proposed rule change. The text of these statements may be examined at
the places specified in Item IV below. The self-regulatory organization
has prepared summaries, set forth in Sections A, B, and C below, of the
most significant aspects of such statements.
A. Self-Regulatory Organization's Statement of the Purpose of, and
Statutory Basis for, the Proposed Rule Change
1. Purpose
The purpose of the proposed rule change is to encourage more
trading and participation in the CXM product by registered Market
Makers. This filing will extend the credit towards dues for trading in
the CXM to May 31, 1994, from its current March 31, 1994 expiration
date.
2. Statutory Basis
The proposed rule change is consistent with Section 6(b)(4) of the
Act in that it provides for the equitable allocation of reasonable fees
and other charges among members using its facilities.
B. Self-Regulatory Organization's Statement on Burden on Competition
The Exchange does not believe that the proposed rule change will
impose any burden on competition that is not necessary or appropriate
in furtherance of the purposes of the Act.
C. Self-Regulatory Organization's Statement on Comments on the Proposed
Rule Change Received from Members, Participants or Others
Comments were neither solicited nor received.
III. Date of Effectiveness of the Proposed Rule Change and Timing for
Commission Action
The foregoing rule change establishes or changes a due, fee, or
other charge imposed by the Exchange and therefore has become effective
pursuant to section 19(b)(3)(A) of the Act and subparagraph (e) of Rule
19b-4 thereunder. At any time within 60 days of the filing of such rule
change, the Commission may summarily abrogate such rule change if it
appears to the Commission that such action is necessary or appropriate
in the public interest, for the protection of investors, or otherwise
in furtherance of the purpose of the Act.
IV. Solicitation of Comments
Interested persons are invited to submit written data, views and
arguments concerning the foregoing. Persons making written submissions
should file six copies thereof with the Secretary, Securities and
Exchange Commission, 450 Fifth Street, NW., Washington, DC 20549.
Copies of the submission, all subsequent amendments, all written
statements with respect to the proposed rule change that are filed with
the Commission, and all written communications relating to the proposed
rule change between the Commission and any person, other than those
that may be withheld from the public in accordance with the provisions
of 5 U.S.C. 552, will be available for inspection and copying at the
Commission's Public Reference Section, 450 Fifth Street, NW.,
Washington, DC 20549. Copies of such filing will also be available for
inspection and copying at the principal office of the CHX. All
submissions should refer to File No. SR-CHX-94-09 and should be
submitted by April 27, 1994.
For the Commission, by the Division of Market Regulation,
pursuant to delegated authority.
Margaret H. McFarland,
Deputy Secretary.
[FR Doc. 94-8165 Filed 4-5-94; 8:45 am]
BILLING CODE 8010-01-M
